Netflix Founder Reed Hastings Is Stepping Aside. Here's What It Means For the Stock.
Netflix (NASDAQ: NFLX) stock jumped 7% after hours last night after the streaming leader posted strong subscriber growth in its fourth-quarter earnings report and offered encouraging guidance for 2023. The 7% gain also stayed in place in Friday's morning session.
However, the real news was that co-founder Reed Hastings would step down as co-CEO and move on to the executive chair position. Greg Peters is being promoted from chief operating officer to co-CEO, sharing the leadership position with chief content officer Ted Sarandos.
Hastings has led the company since its founding in 1997, through its early days as a DVD-by-mail company, its evolution to streaming, and its growth into a media powerhouse that has transformed Hollywood. Along the way, he's delivered extraordinary returns for investors with the stock up more than 27,000% since its 2002 initial public offering, or 31% annualized growth.
Source Fool.com
